diff --git a/pkg/storaged/btrfs/subvolume.jsx b/pkg/storaged/btrfs/subvolume.jsx
index 4730779bbd07..b7866597b045 100644
--- a/pkg/storaged/btrfs/subvolume.jsx
+++ b/pkg/storaged/btrfs/subvolume.jsx
@@ -25,12 +25,15 @@ import { DescriptionList } from "@patternfly/react-core/dist/esm/components/Desc
 
 import { StorageCard, StorageDescription, new_card, new_page } from "../pages.jsx";
 import { StorageUsageBar } from "../storage-controls.jsx";
-import { get_fstab_config_with_client } from "../utils.js";
-import { btrfs_usage } from "./utils.jsx";
-import { mounting_dialog } from "../filesystem/mounting-dialog.jsx";
+import { encode_filename, get_fstab_config_with_client, reload_systemd } from "../utils.js";
+import { btrfs_usage, validate_subvolume_name } from "./utils.jsx";
+import { at_boot_input, mounting_dialog, mount_options } from "../filesystem/mounting-dialog.jsx";
+import {
+    dialog_open, TextInput,
+} from "../dialog.jsx";
 import { check_mismounted_fsys, MismountAlert } from "../filesystem/mismounting.jsx";
-import { is_mounted, mount_point_text, MountPoint } from "../filesystem/utils.jsx";
-import client from "../client.js";
+import { is_mounted, is_valid_mount_point, mount_point_text, MountPoint } from "../filesystem/utils.jsx";
+import client, { btrfs_poll } from "../client.js";
 
 const _ = cockpit.gettext;
 
@@ -44,6 +47,107 @@ function subvolume_mount(volume, subvol, forced_options) {
     mounting_dialog(client, block, "mount", forced_options, subvol);
 }
 
+function get_mount_point_in_parent(volume, subvol) {
+    const block = client.blocks[volume.path];
+    const subvols = client.uuids_btrfs_subvols[volume.data.uuid];
+    if (!subvols)
+        return null;
+
+    for (const p of subvols) {
+        if ((p.pathname == "/" || (subvol.pathname.substring(0, p.pathname.length) == p.pathname &&
+                                           subvol.pathname[p.pathname.length] == "/")) &&
+                    is_mounted(client, block, p)) {
+            const [, pmp] = get_fstab_config_with_client(client, block, false, p);
+            if (p.pathname == "/")
+                return pmp + "/" + subvol.pathname;
+            else
+                return pmp + subvol.pathname.substring(p.pathname.length);
+        }
+    }
+    return null;
+}
+
+function set_mount_options(subvol, block, vals) {
+    const mount_options = [];
+
+    if (vals.mount_options.ro)
+        mount_options.push("ro");
+    if (vals.at_boot == "never")
+        mount_options.push("x-cockpit-never-auto");
+    if (vals.at_boot == "nofail")
+        mount_options.push("nofail");
+    if (vals.at_boot == "netdev")
+        mount_options.push("_netdev");
+    if (!vals.mount_options.auto || vals.mount_options.never_auto)
+        mount_options.push("noauto");
+
+    const name = (subvol.pathname == "/" ? vals.name : subvol.pathname + "/" + vals.name);
+    mount_options.push("subvol=" + name);
+    if (vals.mount_options.extra)
+        mount_options.push(vals.mount_options.extra);
+
+    let mount_point = vals.mount_point;
+    if (mount_point[0] != "/")
+        mount_point = "/" + mount_point;
+
+    const config =
+                  ["fstab",
+                      {
+                          dir: { t: 'ay', v: encode_filename(mount_point) },
+                          type: { t: 'ay', v: encode_filename("btrfs") },
+                          opts: { t: 'ay', v: encode_filename(mount_options.join(",") || "defaults") },
+                          freq: { t: 'i', v: 0 },
+                          passno: { t: 'i', v: 0 },
+                      }
+                  ];
+
+    return block.AddConfigurationItem(config, {})
+            .then(reload_systemd)
+            .then(() => {
+                if (vals.mount_options.auto) {
+                    return client.mount_at(block, mount_point);
+                } else
+                    return Promise.resolve();
+            });
+}
+
+function subvolume_create(volume, subvol, forced_options, parent_dir) {
+    const block = client.blocks[volume.path];
+    dialog_open({
+        Title: _("Create subvolume"),
+        Fields: [
+            TextInput("name", _("Name"),
+                      {
+                          validate: name => validate_subvolume_name(name)
+                      }),
+            TextInput("mount_point", _("Mount Point"),
+                      {
+                          validate: val => {
+                              // Mount points are optional for subvolumes
+                              if (val !== "")
+                                  return is_valid_mount_point(client, block, client.add_mount_point_prefix(val), false, true, subvol);
+                          }
+                      }),
+            mount_options(false, false),
+            at_boot_input("local"),
+        ],
+        Action: {
+            Title: _("Create"),
+            action: function (vals) {
+                // HACK: cannot use block_btrfs.CreateSubvolume as it always creates a subvolume relative to MountPoints[0] which
+                // makes it impossible to handle a situation where we have multiple subvolumes mounted.
+                // https://github.com/storaged-project/udisks/issues/1242
+                cockpit.spawn(["btrfs", "subvolume", "create", `${parent_dir}/${vals.name}`], { superuser: "require", err: "message" }).then(() => {
+                    btrfs_poll();
+                    if (vals.mount_point !== "") {
+                        return set_mount_options(subvol, block, vals);
+                    }
+                });
+            }
+        }
+    });
+}
+
 export function make_btrfs_subvolume_page(parent, volume, subvol) {
     const actions = [];
 
@@ -57,6 +161,7 @@ export function make_btrfs_subvolume_page(parent, volume, subvol) {
     if (mp_text == null)
         return null;
     const forced_options = [`subvol=${subvol.pathname}`];
+    const mount_point_in_parent = get_mount_point_in_parent(volume, subvol);
 
     if (mounted) {
         actions.push({
@@ -70,6 +175,14 @@ export function make_btrfs_subvolume_page(parent, volume, subvol) {
         });
     }
 
+    if (mounted || mount_point_in_parent) {
+        const parent_dir = mounted ? mount_point : mount_point_in_parent;
+        actions.push({
+            title: _("Create subvolume"),
+            action: () => subvolume_create(volume, subvol, forced_options, parent_dir),
+        });
+    }
+
     const card = new_card({
         title: _("btrfs subvolume"),
         next: null,
diff --git a/pkg/storaged/btrfs/utils.jsx b/pkg/storaged/btrfs/utils.jsx
index ec96836e6a76..d5b2405911cd 100644
--- a/pkg/storaged/btrfs/utils.jsx
+++ b/pkg/storaged/btrfs/utils.jsx
@@ -16,8 +16,12 @@
  * You should have received a copy of the GNU Lesser General Public License
  * along with Cockpit; If not, see <http://www.gnu.org/licenses/>.
  */
+import cockpit from "cockpit";
+
 import { decode_filename } from "../utils.js";
 
+const _ = cockpit.gettext;
+
 /*
  * Calculate the usage based on the data from `btrfs filesystem show` which has
  * been made available to client.uuids_btrfs_usage. The size/usage is provided
@@ -75,3 +79,12 @@ export function parse_subvol_from_options(options) {
     else
         return null;
 }
+
+export function validate_subvolume_name(name) {
+    if (name === "")
+        return _("Name cannot be empty.");
+    if (name.length > 255)
+        return _("Name cannot be longer than 255 characters.");
+    if (name.includes('/'))
+        return cockpit.format(_("Name cannot contain the character '/'"));
+}
diff --git a/test/verify/check-storage-btrfs b/test/verify/check-storage-btrfs
index 84563cd3ddc5..405a4a383841 100755
--- a/test/verify/check-storage-btrfs
+++ b/test/verify/check-storage-btrfs
@@ -122,6 +122,59 @@ class TestStorageBtrfs(storagelib.StorageCase):
         self.dialog_cancel()
         self.dialog_wait_close()
 
+    def testCreateSubvolume(self):
+        m = self.machine
+        b = self.browser
+
+        self.login_and_go("/storage")
+
+        disk1 = self.add_ram_disk(size=140)
+        label = "test_subvol"
+        mount_point = "/run/butter"
+        subvol = "cake"
+
+        m.execute(f"mkfs.btrfs -L {label} {disk1}")
+        self.login_and_go("/storage")
+
+        # creation of btrfs partition can take a while on TF.
+        with b.wait_timeout(30):
+            b.wait_visible(self.card_row("Storage", name=label))
+
+        root_sel = self.card_row("Storage", name=label) + " + tr"
+        b.wait_not_present(f"{root_sel}:contains('Create subvolume')")
+        self.click_dropdown(self.card_row("Storage", name=label) + " + tr", "Mount")
+        self.dialog({"mount_point": mount_point})
+        self.addCleanup(self.machine.execute, f"umount {mount_point} || true")
+        b.wait_in_text(self.card_row("Storage", location=mount_point), "btrfs subvolume")
+        self.click_dropdown(self.card_row("Storage", location=mount_point),
+                            "Create subvolume")
+        # Without mount point
+        self.dialog_wait_open()
+        self.dialog({"name": subvol})
+        b.wait_visible(self.card_row("Storage", name=subvol))
+
+        subvol_mount = "quiche"
+        subvol_mount_point = "/run/oven"
+        self.click_dropdown(self.card_row("Storage", location=mount_point), "Create subvolume")
+
+        # With mount point
+        self.dialog_wait_open()
+        self.dialog({"name": subvol_mount, "mount_point": subvol_mount_point})
+        b.wait_in_text(self.card_row("Storage", location=f"{subvol_mount_point} (not mounted)"), "btrfs subvolume")
+
+        self.addCleanup(self.machine.execute, f"umount {subvol_mount_point} || true")
+        self.click_dropdown(self.card_row("Storage", location=f"{subvol_mount_point} (not mounted)"), "Mount")
+        self.confirm()
+
+        b.wait_in_text(self.card_row("Storage", location=subvol_mount_point), "btrfs subvolume")
+
+        # Finding the correct subvolume parent from a non-mounted subvolume
+        m.execute(f"btrfs subvolume create {subvol_mount_point}/pizza")
+        self.click_dropdown(self.card_row("Storage", name=f"{subvol_mount}/pizza"), "Create subvolume")
+        self.dialog_wait_open()
+        self.dialog({"name": "pineapple"})
+        b.wait_in_text(self.card_row("Storage", name=f"{subvol_mount}/pizza/pineapple"), "btrfs subvolume")
+
     def testMultiDevice(self):
         m = self.machine
         b = self.browser